Pursuing Excellence in Healthcare Preserving America’s Academic Medical Centers Endorsements “This is a terrific resource for anyone interested in understanding the indispensable role of the academic health center. But this is not an apologia. Dr. Feldman identifies the key problems we need to solve and the kinds of solutions we must adopt to ensure the excellence of our essential missions in research, training, and health care going forward. A book all health care leaders should read and then read again.” Michael M.E. Johns, MD Chancellor, Emory University “You will not agree with everything that Dr. Feldman writes in Pursuing Excellence: Preserving America’s Academic Medical Centers, which is precisely why you should read and debate it. Scientist, scholar, educator, entrepreneur, and, especially, clinician, Dr. Feldman has given us a provocative and passionate insider’s view. It arrives just in time to stimulate our thinking at this moment of great opportunity.” Andrew L. Epstein, MD Managing Director, Navigant Consulting, Inc. “This is a splendid book that explores the unique role and contri- butions of academic medical centers in society. Enhanced by the author’s intimate knowledge of the subject matter, it is well struc- tured, easy to read and thought provoking. It details the evolution of academic medical centers from their origins as small, simple enclaves for medical scholars with altruistic motivations to their current form as large, complex enterprises that serve as a home for cutting edge health care, biomedical research and health professional education, and as an economic engine for the communities they serve. The author underscores the essential importance of excellence in health care as a cornerstone for most successful academic medical centers and explores the synergistic roles of four elements that he proposes as components or spheres of action of a model for a suc- cessful academic medical center: structure, research, education and business. Each is explored in some detail, often benefiting from the author’s knowledge and personal experience. Always based on fact, the author’s passion for the subject matter is ever present and makes this a very interesting book to read. I recommend it for anyone who wants to know about the elements that have shaped and continue to influence the structure and functioning of academic medical centers in the United States. Dr. Feldman is to be congratulated on writing a very important, timely and remarkably entertaining book.” Paul K. Whelton, MB, MD, MSc President and Chief Executive Officer Loyola University Health System, Loyola University Medical Center “This comprehensive overview of the academic medical center enter- prise brings together, in a remarkably coherent fashion, history, eco- nomics, and politics as they intersect with the traditional academic missions of education, patient care, and research. It is informative and perceptive, with substantive insights and recommendations. The book is a welcome addition to the growing literature in this area.” Steven A. Wartman, MD, PhD, MACP President/CEO, Association of Academic Health Centers “Dr. Feldman has done all of us who care deeply about the future of academic medical centers a service in presenting the wealth of facts and thoughtful analysis that he provides in Pursuing Excellence in Health Care: Preserving America’s Academic Medical Centers. Whether one agrees with his final recommendations or not, his arguments are well developed and persuasive, and the important issues are delineated comprehensively and fairly. I was particularly struck by his introductory comment that the four C’s that ought to provide the foundation of our work as physicians—compassion, confidence, commitment and competence—are in danger of being replaced by the four A’s that define success in the modern healthcare marketplace—affability, availability, affordability and accessibility. I would take this one step further to say that the greatest value of the academic medical center to society likely resides lies within the four I’s: imagination, intellect, innovation and idealism. Reading this book may help us to keep it so.” R. Sanders Williams, MD Senior Vice Chancellor for Academic Affairs Duke University School of Medicine “Arthur Feldman, MD, PhD, has produced a landmark work, doc- umenting the plight of the U.S. academic medical center (AMC), highlighting its importance, and charting a course for securing its successful future. Dr. Feldman appropriately places clinical care at the center or the AMC’s mission and insightfully guides the reader through the labyrinth of interdependencies among the AMC’s essential clinical, teaching, and research missions. He hones in on the complexities of structure and business operations, exquisitely describing how we got where we are, and providing a clear vision for surviving and thriving in the upcoming challenging era. Dr. Feldman’s book is a must-read for all stakeholders in the mission of preserving what is good about US healthcare and fixing all that is broken about it.” Marvin A. Konstam, MD Chief Physician Executive The CardioVascular Center, Tufts Medical Center Professor of Medicine, Tufts University School of Medicine “Art Feldman has done a great service to the world of academic medicine by conceptually redesigning the “three legged stool” aca- demic medical center architecture into a thoroughly modern pyra- mid with academics, business, structure, and research as its base and outstanding clinical care as the apex. The ramifications for AMC leadership effectiveness of acknowledging and embracing this bold revision are profound—as are the accompanying challenges of iden- tifying, preparing, and sustaining such leaders. Dr. Feldman’s com- prehensive and insightful perspective on the AMC’s dilemma in our time not only validates and informs the struggle AMC leaders face but illuminates potential strategies for their success going forward. Kudos!” Stephen Blattner, MD, MBA Founding Principal of exăgoMD, LLC Sponsor of the Health Care Leadership Blog (www.healthcareleadershipblog.com) Pursuing Excellence in Healthcare Preserving America’s Academic Medical Centers Arthur M. Feldman, MD, PhD Foreword by Edward J. Benz, Jr., MD Productivity Press Taylor & Francis Group 270 Madison Avenue New York, NY 10016 © 2010 by Taylor and Francis Group, LLC Productivity Press is an imprint of Taylor & Francis Group, an Informa business No claim to original U.S. Government works Printed in the United States of America on acid-free paper 10 9 8 7 6 5 4 3 2 1 International Standard Book Number: 978-1-4398-1657-8 (Hardback) This book contains information obtained from authentic and highly regarded sources. Reasonable efforts have been made to publish reliable data and information, but the author and publisher cannot assume responsibility for the validity of all materials or the consequences of their use. The authors and publishers have attempted to trace the copyright holders of all material reproduced in this publication and apologize to copyright holders if permission to publish in this form has not been obtained. If any copyright material has not been acknowledged please write and let us know so we may rectify in any future reprint. Except as permitted under U.S. Copyright Law, no part of this book may be reprinted, reproduced, trans- mitted, or utilized in any form by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying, microfilming, and recording, or in any information storage or retrieval system, without written permission from the publishers. For permission to photocopy or use material electronically from this work, please access www.copyright. com (http://www.copyright.com/) or contact the Copyright Clearance Center, Inc. (CCC), 222 Rosewood Drive, Danvers, MA 01923, 978-750-8400. CCC is a not-for-profit organization that provides licenses and registration for a variety of users. For organizations that have been granted a photocopy license by the CCC, a separate system of payment has been arranged. Trademark Notice: Product or corporate names may be trademarks or registered trademarks, and are used only for identification and explanation without intent to infringe. Library of Congress Cataloging‑in‑Publication Data Feldman, Arthur M. (Arthur Michael), 1949- Pursuing excellence in healthcare : preserving America’s academic medical centers / Arthur M. Feldman. p. ; cm. Includes bibliographical references and index. ISBN 978-1-4398-1657-8 (hardcover : alk. paper) 1. Academic medical centers--United States. I. Title. [DNLM: 1. Academic Medical Centers--United States. WX 27 AA1 F312p 2010] RA981.A2F45 2010 362.12--dc22 2009026677 Visit the Taylor & Francis Web site at http://www.taylorandfrancis.com and the Productivity Press Web site at http://www.productivitypress.com To my mentors, who passed on to me the traditions of excellence Kenneth L. Baughman, MD Michael R. Bristow, MD, PhD Saul W. Brusilow, MD Myron L. Weisfeldt, MD Foreword Academic medical centers (AMCs) have served a unique and vital role in the advancement of health both nationally and worldwide. Their uniqueness arises from the special way that they combine biomedical research, clinical research, high-quality professional education, and a full array of cutting-edge clinical ser- vices within one entity. During the roughly 100 years of their existence, they have become worldwide models for the kind of organizational framework that best promotes the application of new medical knowledge to improve healthcare. AMCs have also become the almost exclusive source of highly educated and qualified physicians, nurses, and allied health professionals in the United States. Along the way, particularly in the half century since the introduction of Medicare, AMCs have also become enormously large business enterprises. In some urban areas, these centers have become the largest nonfederal employer in the region. As a result of this evolution, AMCs have become something quite a bit more complicated and embedded in the “real world” of highly competitive medical care delivery than they were intended to be when first conceived in the late nineteenth century. Long ago, AMCs ceased to be the small, fraternal enclave of medical scholars providing virtually free care to the local “charity” hospitals where they trained the next generation of physicians and scientists. Most AMCs are now sprawling enterprises employing thousands of faculty and tens of thousands of workers of all types. As inherently hybrid, multimission organizations, AMCs make unique con- tributions to society that should ensure their existence and even prosperity far into the future. However, the “hybrid” nature of the organizations also threatens their very existence. As healthcare providers, AMCs compete in an increasingly Darwinian marketplace with equally large and capable healthcare service organ- izations that can devote all of their energies and resources to the provision of services. Even at the high “quaternary care” end, these services are increasingly commoditized and priced in a reimbursement environment that forces everyone to operate on razor-thin margins. ix
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